Private Enterprise in the Public Interest
Posted July 9, 2012
As young kid in the 1960s, I was very aware of astronauts and rockets. It was the era of the space race. I never really wanted to be an astronaut or ride in a rocket, though I have admired those who do. My appreciation for the launch of a rocket when I was young had mostly to do with the bravery of the astronauts and the power of the exploding force behind a “lift-off.” It was an impressive sight, even on TV.
In adulthood, my appreciation shifted. The advances of science and technology through the work of NASA have become even more impressive to me. The lives of billions of people have been directly affected by an expanding scope of research, discovery and invention. In addition to aeronautics, the fields of health, safety, communication, materials, science and many, many more have been impacted directly. The interesting thing is this was done on purpose. The legislation that created NASA in 1958 includes phrases such as, “the expansion of human knowledge,” “the establishment of long-range studies,” and “international cooperation.” Based on the results, I think they got it right.
The first commercial flight to the International Space Station by SpaceX appears to be a great success. While it seems remarkable that a single corporation could achieve something so impressive, the reality is that such commercial enterprises have provided much of the backbone of the space program since its inception. Yet, I wonder if a new pattern is emerging. To what extent can the public interest be taken up by the private sector? We have long benefitted from robust public/private partnerships at many levels, but is the overall pattern changing? How much of the public interest can the private sector really carry?
Much of the progress we have made as a society has been fueled by an implied national interest. The space program is only one example. Basic research funding provided to universities, medical schools and research labs has yielded an immense amount of scientific and technological progress. The building of our infrastructure in roads, bridges, rails and airports has produced a transportation network equal to our ambitions for economic growth. The need to move information has advanced from the early development of the telegraph, the postal service and telephone systems to digital communications, satellites and the internet.
Perhaps the essential work of the nation in building this infrastructure is complete and it’s time to gradually transfer the leading role in the partnership for securing our future to private interests. If so, how do we balance our understanding of a public good versus a private good? Can the private sector pick up the mantle of leadership for building the backbone of a nation?
Having developed this amazing platform we are now discovering what it will cost to maintain it. The deferred maintenance list appears to be growing rapidly. There are reports of a crumbling transportation infrastructure that will require more resources than we can afford. Funding for basic research is receding as vast opportunities are emerging in genetics, renewable energy and nanotechnology. We fail to provide sufficient financial support for our aging postal service as Facebook reaches a breathtaking level of market capitalization.
I understand the patterns of the past and I am witnessing the patterns of the present. But I continue to wonder about the patterns of the future.
This piece was originally written for The Des Moines Register’s A Better Iowa, where President Mark Putnam served as a featured columnist.
About the Author
I'm the lucky individual who carries the title, 21st president of Central College in Pella, Iowa. Passionate about higher education and the issues facing it and the world today, I hope to invoke an engaging conversation with all who are ready to dig in, make a difference and build for the future. Share your thoughts. I'm listening and interested.